Apple Spends a Lot on Advertising, Microsoft Spends Double
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Posted May 7, 2010 at 4:56pm by iClarified
SAI's Chart of Day shows how much tech companies like Apple spend on advertising.
Apple spends half as much on ads as Microsoft, and appears to get more out them. This sort of surprised us, as it seems that iPhone ads are constantly on TV.
Also notable is that Yahoo plans to spend $80 million on its new "It's You" ad campaign. That's almost double what it spent last year.
Are the numbers right? A quick calculation using the numbers in the graph shows that Microsoft revenue is roughly above 57000 mil whereas Apple's is very close (49800 mil.) I did not expect to be this close !!
It's easy to forget that Microsoft has a much larger market share than Apple and therefore has a lot more capital to mobilize. Then again, Apple has no gearing and holds a lot more cash in reserve. I think the primitive conclusion to draw from this is that Apple are very effective with their advertising campaign whilst Microsoft are less effective but have more exposure (and gain more)
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